Income Tax Return 2026 Filing: File income tax return by 31st July, otherwise a fine of lakhs will be imposed.

Business Desk – Income Tax Return 2026 Filing: The process of Income Tax Return (ITR) filing for the financial year 2025-26 has started. The last date for filing returns for general taxpayers has been set as 31 July 2026. At the same time, for some taxpayers of business category (ITR-3 and ITR-4), this deadline is till 31st August.

If a person is unable to file the return by the prescribed date, he can file the belated return by paying the fine till 31st December. ITR is an official document of your income, investments and financial transactions, so it is very important to fill it correctly and on time.

Monitor every transaction with AI and data analytics

The Income Tax Department is now keeping a close watch on the financial activities of taxpayers with the help of Artificial Intelligence (AI), data analytics and various government and financial portals. Information about bank accounts, TDS, stock market investments, mutual funds, property buying and selling and foreign trips reaches the department. In such a situation, giving wrong or incomplete information in ITR can lead to notice and additional tax in future.

1. Do not rely only on Form-16

Most of the salaried employees assume that the information given in Form-16 is sufficient, whereas it is not so. Form-16 only gives details of salary and TDS deducted on it. If you have earned income from FD, RD, savings account, dividends, rent, freelancing, stock market, mutual funds or foreign sources, then it is mandatory to include it in ITR. Hiding this information may result in paying additional tax and interest later.

2. Select the correct ITR form

Choosing the right form is one of the most important steps while filing ITR. If you fill in the wrong form, your return may be considered ‘defective’, which would mean that you have not filed the return validly.

ITR-1: For taxpayers with salary, pension and simple interest income.
ITR-2: Capital gains, for those owning more than one house or foreign income property.
ITR-3: For those doing business, freelancing, F&O and trading.
ITR-4: For small businessmen and professionals.

3. Must match AIS, TIS and Form 26AS

Before filing the return, please match the information in Form-16, Form-26AS, Annual Information Statement (AIS) and Taxpayer Information Summary (TIS). If there is a difference between the income shown in these documents and your ITR, the department may seek clarification. If any error is found, submit a request for correction through the portal.

4. If you have changed job then add the income of both the companies.

If you have changed jobs during the financial year, file the return by combining the salary received from both the old and new employers. Many times both the companies deduct TDS separately, due to which less tax is collected on the total income and later the tax liability may increase.

5. Fill in correct bank account information

It is necessary to give correct details of all your bank accounts in ITR. In particular, carefully fill in the account number and IFSC code of the account in which you want to receive refund. Even a small mistake can cause delay in refund.

6. Don’t make the mistake of hiding interest income

Many people assume that if TDS is not deducted on interest then there is no need to show it in the income. But the information about interest received from FD, RD, savings account and bonds reaches the department through banks and AIS. Hiding such income can prove costly later.

7. Provide complete information about share, mutual fund and property transactions

Since demat account is linked to PAN, almost all transactions related to shares and mutual funds are in the records of the department. If you have sold shares, redeemed mutual funds or sold property, declare both your profit and loss in your return. Showing losses can also provide the benefit of saving tax in future.

8. Claim deductions based on documents

Claim Section 80C, NPS, 80D (Health Insurance), home loan interest and other tax exemptions only on the basis of actual investments and expenses. Keep the relevant documents safe, because the department can ask for their verification at any time.

9. Full disclosure of foreign investments and income

If you have invested in foreign shares, ETFs, foreign bank accounts or any international investment platform, it may be mandatory to provide information about the same. In particular, resident and ordinary resident taxpayers must make full disclosure of foreign assets and income.

10. Don’t forget to do e-verification

Merely submitting the return is not enough. After filing ITR, it is mandatory to do e-verification through Aadhaar OTP, Net Banking, Demat Account or Digital Signature. If verification is not done on time, the return may be considered invalid.

Remember the deadline of 31st July

Experts say that taxpayers should file ITR on time to avoid last-minute rush and technical problems. Filing returns after the prescribed deadline may result in penalty, interest and other punitive action. Therefore, it would be wise to file your income tax return as soon as possible after matching all the documents.